Terms of Reference

On 9 of February 2011 the Committee resolved to review and report on the operation of funding agreements between the Commonwealth and State and Territory Governments, including the National Agreements entered into under the Intergovernmental Agreement on Federal Financial Relations. The Committee will specifically consider:

the changing dynamics of grants to states and territories, the types of grants that are made and the principles, agreements and legislation governing these grants;

the extent to which the current systems for funding agreements satisfy the requirements of all levels of government, and any suggestions for changes to the process;

the need to balance the flexibility to allow states and territories to determine their own priorities with mechanisms for monitoring accountability and ensuring that the objectives of funding agreements are being achieved, noting the role of the COAG Reform Council; and

the adequacy of parliamentary scrutiny of funding agreements, noting that such agreements are typically negotiated at executive-to-executive level.